Friday, January 21

Ethereum is a scam, says Tuur Demeester

For Tuur Demeester, a Bitcoin maximalist known in the community, the Ethereum network is a market scam, similar to the Theranos company.

Theranos company operated in the health-technology area of ​​the United States, with its foundation being in 2003. Founded by Elizabeth Holmes, it was even compared to Steve Jobs, founder of Apple, with promising applications for medical diagnostics.

In 2015, the company began to be accused of fraud and investigations began by the Federal Court and the US Securities and Exchange Commission. In 2018, the company declared total bankruptcy, with its founder losing its billions and being accused in court of committing a blow to the country’s science.

In recent days, there has been a resumption of the case against Holmes, which can put her in prison for up to 20 years. According to the The Guardian, she continues to deny having committed scams in blood tests and fraud against patients and investors, in a case still under analysis.

Even though this case is not directly related to cryptocurrencies, for a Bitcoin fan there is something to think about.

“Ethereum is a Theranos-style scam”

Growing in adoption and functionality in recent months, Ethereum continues to be the second largest network and protagonist in sectors such as DeFi, NFTs, among other innovative solutions, such as tokens linked to the metaverse.

Created in 2015, Ethereum went from a promise to a scenario where it is considered one of the most promising cryptocurrencies by some investors. Companies continue to create investment products linked to this currency, such as ETFs and investment funds.

In the cryptocurrency market, however, Bitcoin experts like Tuur Demeester believe that Ethereum is nothing more than a scam, which is likely to die at some point, as does Theranos, a scam that lasted about 15 years.

In the opinion of the expert, who speaks against the second cryptocurrency a few years ago, the Ethereum has only 6 years since its foundation, being a disappointment at this time.

In his explanation, Tuur declared that the Ethereum should die after a series of hard forks, noting that this week this cryptocurrency goes through another network update in its history, which led brokerages to warn about the suspension of withdrawals and deposits.

“Theranos’ disappointment lasted fourteen years. Ethereum running for six so far. Not decentralized. Not scalable. Vulnerable Turing. The end of the game is coming. Expect death for a thousand hard forks.”

The Ethereum goes through a new hard fork next Thursday (9), scheduled to start at 17:00 in Brasilia.

This update aims to postpone the so-called difficulty bomb, mechanism that makes it difficult to mine Ethereum by Proof-of-Work (PoW) whose objective is to accelerate the migration to Proof-of-Stake (PoS). Despite this, this bomb is always delayed and seems to be of no use.

In any case, criticism of the second-largest cryptocurrency continues as its developers struggle to keep it up to date and secure, but with strong questions about its decentralization and scalability.